Unlike other investors, I'm not monitoring the market indices by the digits. I am just going to talk about the outlook based on observation.
The market is still running high in volatility from the COVID uncertainty. As far as efforts have been expended to stabilise the economy through confidence in the vaccination rate, key markets of interest (e.g. developing countries) which the companies are vested in are still struggling to stabilise their economies. As such, the direction of those stocks involved remain a question mark.
Plus the fact that China is cracking down on the integrity of their giants that have expanded far and wide, it's going to be a challenge for investors to decide whether to sell off or hold. After all, their confidence lies in the fact that they are all around the world; the CCP acts like a strict parent and if they don't marry these business off to the investors, investors may end up having a hard time holding on to "love" which may diminish in returns.
Looking at my portfolio, I'm not optimistic that I can adopt the same strategy as last year where I rode happily on the waves of buy-up and sell-off. I suppose a lot of investors are anticipating such waves in vain and are now trying to go back to the drawing board to re-analyse their strategies in investing. Likewise I shall adopt a more defensive stance and in the meantime, accumulate funds as I wait for an opportune window to enter some of my stocks.
Which stocks, then? I am not sure. I may feel safer playing a risky strategy on a blue chip, but then am afraid of losing out on the potential of other penny stocks. I already lost out on UMS and mapletree indus. trust gains le. So rather than crying over the loss in profit might as well muster some discipline and look CLOSELY again... and wait till the time is right :)
Wow. what an entry. Haha. Surprisingly felt glad that I typed all these out. Shall do so more often so in the future I can look back at how I have viewed the stock market.